When purchasing a property in Northern Cyprus there are certain regulations and restrictions that must be adhered to, to enable you to take the title deed (known locally as a kocan pronounced ko-ch-an) to be transferred into your name. These include checks carried out by the Ministry of Interior. The transfer of the title may take 8-12 months to fully complete, this however will not effect you being able to take possession of your property. Large investment companies usually do not have to wait more than 3 months.

There are a number of types of deeds in North Cyprus, these are:

1. Foreign ownership PRE-1974: For example; British, German etc. this title deed category provides the quickest route to purchase as there is no requirements for the ministers approval.

2. Turkish Cypriot owned PRE-1974: Before the property can be registered in your name, an application must be made to the Council of Ministers for approval. Foreigners are limited to one donum per person (husband and wife count as one person).

3. T.R.N.C.: Kesin Tasarruf Absolute Possession Document title deed (Exchange): Land or property, originally owned by a Greek Cypriot prior to 1974, with deeds issued by the TRNC Government on a points basis in compensation for land given up in the South. The owner of such a title deed is allowed to sell to foreigners. It seems unlikely in any settlement of the dispute between North and South, that anyone who has been so compensated through government issue of such a title deed, or indeed any subsequent purchaser of such a title, will lose the value of such issue or purchase.

4. Greek Cypriot Title Deed: Land or property. We advise against such purchases.



The Process for Buying a Freehold Property is as follows:

1. Decide the best property for you and agree price.

2. Contract to be drawn up by a solicitor based in Northern Cyprus, setting down the terms of sale i.e. price, timescale, payment specification and any special conditions.

3. All relevant paper work to be signed by the Vendor and Purchaser.

4. Purchaser provides a minimum 10% deposit.

5. Solicitor applies for a purchase permit from the Council of Ministers.

6. As soon as the purchase permit is received, Purchaser pays balance and vendor signs the title deed into the name of the Purchaser.

7. Sale completed.



For the client who wishes to purchase land and build a house or villa, the laws are as follows, outside the municipal boundaries, there are restrictions on the area that one can build on:

1. 15% covered area of the land size, for a bungalow on the mountain side.

2. 20% covered area of the land size, for a villa on the mountain side.

3. 20% covered area of the land size, for a bungalow on the sea front.

4. 25% covered area of the land size, for a villa on the sea front.

5. 120% covered area of the land size, in the cities and villages.

There is also a height restriction for houses, one storey = 17 feet, two storey =27 feet and three storey = 37 feet. Once the plans have been lodged with the District Office, work may commence.



In addition to the purchase price of the actual property, other costs you are likely to incur are as follows:

Solicitors fee approx.: £1,000.
Deposit, 10% of purchase price.
Stamp Duty: 6% - First time buyers has an one off option to use their right to pay 3%
VAT: 5%
Approximate for annual property tax: £15.
Connection fees.



It is true to say that retired people and families who come to live in Northern Cyprus enjoy a much higher standard of living than their UK counterparts, with pensions having a much higher purchasing power and the reassuring knowledge that one is living in a safe environment. For people who are thinking of buying for investment purposes, what better way than to rent your property. A house with a private swimming pool will bring you at least £500 per week during the high season, Nokta Estates not only guarantees 20 weeks of rental every year but will be of SERVICE IN EVERY ASPECT. Also to be in the knowledge that your North Cyprus property value will increase each year.
 

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